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Capitol Notebook: Programs to address cancer chosen in Iowa’s federally funded rural health care program
Also in the notebook, the statewide teachers union held a conference call to warn what would happen under proposed state K-12 education funding levels
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DES MOINES — The first contracts for cancer-related projects in Iowa under a federally funded program designed to improve rural health care, totaling more than $77 million, were announced this week by the state.
During a press conference Thursday to release preliminary findings of state research into Iowa’s high cancer rates, Iowa Gov. Kim Reynolds and Iowa Health and Human Services Director Larry Johnson announced the first seven contracts for cancer-specific programs under Iowa’s Healthy Hometowns Rural Health Transformation Plan.
The state program is funded by the federal Medicare & Medicaid Services’ Rural Health Transformation Program, an initiative created by the One Big Beautiful Bill Act signed into law in July. The funding — $50 billion spread across the country — comes from federal Republicans’ tax policy and federal budget legislation which also slashed hundreds of billions from Medicaid and other federal health programs.
Iowa was awarded $209 million for the next fiscal year under the program.
Among the cancer-related projects announced by the state this week are:
- $50 million to 10 hospitals and health care facilities across the state to serve as “centers for excellence,” described in state documents as health care entities that will establish infrastructure and partnerships, and conduct needs assessments to coordinate and provide services to rural Iowans;
- $15.1 million to the Marion County Board of Health for cancer prevention and screening;
- $12 million to University of Iowa Health Care and $6 million to the Iowa Primary Care Association to serve as technical assistance providers.
“I’m excited that we’re able to leverage our existing public health resources to support this critical project,” Johnson said during Thursday’s press conference. “This type of work is exactly what public health is intended to do, and we look forward to this partnership.”
Earlier this month, the state announced its first allocation under the program: $78.6 million toward equipment procurement and installation and bolstering health care workforce recruitment. That announcement included:
- $66 million to 36 hospitals and health care facilities across the state for medical equipment purchases and
- $12.6 million to 107 hospitals, clinics and other medical facilities across the state for workforce recruitment.
“This work will have a lasting impact on our state, and I appreciate the commitment of everyone involved,” Reynolds said. “And as I said in the Condition of the State (address to the Iowa Legislature in January), this is how transformation begins: not just with talk, but with action. And when it comes to fighting cancer, Iowans deserve nothing less. And that’s why I’m confident that we’re not only on the right track, we’re taking real strides toward a healthier future for our state.”
Iowa’s Healthy Hometowns Rural Health Transformation Plan aims to, according to the state’s application to the federal administration, develop hub-and-spoke care networks; recruit and retain current and new providers; boost access to and improve equipment for cancer screening and treatment; expand radon testing; pay for mammograms, breast MRIs, colonoscopies, and other cancer detection and treatments; and invest in new telehealth technology for high-risk transport of mothers and their babies.
The federal Rural Health Transformation Program was included in the One Big Beautiful Bill Act — the Republican-backed tax-cut-and-spending law enacted in July. The legislation reduces future federal Medicaid spending by nearly $1 trillion over 10 years and will increase the number of uninsured people by 10 million, according to projections from the Congressional Budget Office.
Of that total, Medicaid spending in rural areas will decrease by $137 billion over 10 years, according to the nonprofit health care advocacy organization KFF.
The projected 10-year impact on Iowans, according to the American Hospital Association: 37,700 rural Iowans will lose Medicaid coverage and rural hospitals will see $2.7 billion less in Medicaid funding.
Education advocates: Republican K-12 funding proposals fall short
Public school advocates are criticizing recent K-12 funding proposals by state Republicans, arguing the rates floated are inadequate and will lead to cuts as schools struggle to keep up with inflation.
During a press call with reporters Friday, Iowa State Education Association President Joshua Brown called on state lawmakers to use the roughly $350 million in state general funds currently going toward the state’s Education Savings Account program for private schools to instead help increase public school funding.
He pointed to schools districts across Iowa who say they will face significant budget cuts under the proposed increase, including Colo-Nesco Community School District, which would need to carve out $300,000 for its budget and is considering making cuts to the band program, transportation and custodial services.
“These are real consequences of years of low, unsustainable SSA funding, funds diverted to private school vouchers and a tax on our public schools,” Brown said. This erosion affects everyone, and it is our children who suffer the most.
Earlier this week, Iowa Senate Republicans advanced legislation that would increase the state’s general K-12 school funding level for the next school year by 1.75 percent. In early January, Gov. Kim Reynolds proposed a 2 percent increase. Iowa House Republicans have not yet presented a funding proposal.
Last year, funding increased by 3 percent.
Democratic legislator: Fund property tax relief by ending private school assistance
Local property tax relief for Iowa property owners would be financed by ending the state funding of private school assistance under a proposal from Iowa Sen. Herman Quirmbach, D-Ames.
Quirmbach’s proposal would reduce K-12 public schools’ portion of local property tax levies by 25 percent and have the state pick up the tab. The proposal would be paid for by ending the state’s funding of roughly $8,000 scholarships for any student who wishes to attend a private K-12 school in Iowa.
The plan would lower property taxes by more than $325 million annually, Quirmbach said in a press release. He argues his plan would provide property tax relief to all owners without reducing local government revenues that fund services like police, fire and emergency response.
Reducing Iowans’ property taxes has been a prominent discussion in the Iowa Legislature for the past four sessions. This year, Gov. Kim Reynolds, Iowa Senate Republicans, Iowa House Republicans, and Iowa House Democrats have all pitched property tax legislation.
Quirmbach’s bill, Senate File 2228, is not likely to get consideration at the Capitol, where Republicans hold majorities of both chambers.
“Unlike other property tax proposals, mine is simple to explain,” Quirmbach said in the press release. “By moving public dollars back to supporting public schools, we can afford property tax relief without further shortchanging our public school kids’ futures.”
Gazette-Lee Des Moines Bureau
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